Euro Sun Mining (ESM) AI Stock Analysis

• Market Cap: C$154.36M
• Dividend Yield: N/A
• Average Volume (3M): 640.63K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.72
• Revenue Growth: N/A
• EPS Growth: -77.78%
• Country: CA
• Employees: 57
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Gold
• EPS (TTM): >-0.01
• Shares Outstanding: 422,912,080
• 10 Day Avg. Volume: 637,232
• 30 Day Avg. Volume: 640,626
• PEG Ratio: -0.22
• Price to Book (P/B): -5.07
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -5.45
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 50 Neutral
• Price Target: C$0.37 ▲(27.59% Upside)

The score is weighed down primarily by weak financial fundamentals (no revenue, ongoing operating losses, persistent cash burn, and negative equity), partly offset by strong recent technical momentum (price above key moving averages with positive MACD). Valuation contributes limited support due to a negative P/E and no dividend yield data.

Positive Factors

Development-stage flagship asset

Owning and advancing a large, defined gold‑copper development project gives the company a clear path to future reserve conversion and potential long‑lived cash generation. Success in permitting, engineering, and financing would create durable value beyond short‑term market moves.

Lower debt burden

Reduced indebtedness improves financing flexibility for a development firm, lowers interest costs and reduces near‑term solvency pressure. A lighter debt profile makes it easier to structure project financing or equity raises without immediate stress on cash flows, aiding long‑term execution.

Narrowing losses

A shift from large operating losses toward narrower losses and an accounting positive in 2024 signals improving cost control and project advancement. If sustained, this trend enhances prospects for eventual operating breakeven once the project produces, supporting long‑term viability.

Negative Factors

No revenue base

Having no operating revenue for multiple years means the company cannot self‑fund development and is dependent on external financing or asset sales. This elevates execution risk over months as capital markets or partners must provide durable project funding for advancement.

Negative shareholders' equity

Persistent negative equity reflects accumulated deficits and limits financial flexibility, making it harder to raise non‑dilutive capital and increasing creditor concerns. Over time this can constrain strategic options and raise the likelihood of dilutive financing or restructuring.

Chronic cash burn

Continuous negative operating and free cash flow forces reliance on external funding to sustain exploration and development. That structural cash burn elevates dilution and financing risk, potentially delaying project milestones if capital markets tighten or terms deteriorate.

Euro Sun Mining Business Overview & Revenue Model

Company Description

Euro Sun Mining Inc. operates as a gold and copper exploration and development mining company in Romania. It primarily holds a 100% interest in the Rovina Valley project that covers an area of 27.68 square kilometers located in west-central Romania. The company was formerly known as Carpathian Gold Inc. and changed its name to Euro Sun Mining Inc. in August 2016. Euro Sun Mining Inc. was incorporated in 2003 and is headquartered in Toronto, Canada.

How the Company Makes Money

Euro Sun Mining generates revenue primarily through the exploration, development, and anticipated future production and sale of gold and copper from its Rovina Valley Project. The company's revenue model relies on successfully bringing its mining projects to operational status, thereby enabling the extraction and sale of precious and base metals. Key revenue streams include the sale of mined gold and copper on global commodity markets. Euro Sun Mining’s earnings potential is significantly influenced by factors such as mineral market prices, successful project development, and operational efficiency. Partnerships with local stakeholders and compliance with regulatory frameworks are also critical to its revenue generation strategy.

Euro Sun Mining Financial Statement Overview

Summary

Euro Sun Mining exhibits a challenging financial situation with no revenue, negative equity, and persistent cash flow deficits. Reliance on external financing for operations is unsustainable, underscoring the need for revenue generation and improved cost management.

Income Statement

Euro Sun Mining's income statement shows zero total revenue over multiple periods, highlighting the absence of operational income. The company has consistently reported negative EBIT and net income, indicating persistent operational losses. The lack of revenue and profitability poses significant challenges for future financial sustainability.

Balance Sheet

The balance sheet is concerning with negative stockholders' equity, indicating the company is insolvent. The debt-to-equity ratio cannot be calculated due to negative equity. Total assets have significantly declined over the years, and liabilities exceed assets, further highlighting financial instability. The company's financial leverage is high, raising concerns about its ability to meet long-term obligations.

Cash Flow

Cash flow from operations is consistently negative, reflecting ongoing cash outflows from core activities. The free cash flow is also negative, suggesting the company is reliant on external financing. Despite some positive financing cash flow, the inability to generate positive cash from operations is a major risk for liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00	0.00
Gross Profit	-3.44K	0.00	-72.54K	0.00	0.00	0.00
EBITDA	-3.61M	-2.18M	-3.38M	-6.70M	-10.46M	-10.64M
Net Income	-4.18M	448.39K	-5.47M	-8.20M	-10.90M	-12.93M
Balance Sheet
Total Assets	2.44M	725.91K	673.00K	1.49M	1.51M	10.23M
Cash, Cash Equivalents and Short-Term Investments	1.74M	116.35K	45.02K	912.67K	182.09K	8.70M
Total Debt	3.48M	243.24K	700.34K	2.49M	318.92K	187.57K
Total Liabilities	6.51M	2.86M	5.61M	5.66M	3.41M	3.10M
Stockholders Equity	-2.93M	-2.13M	-4.94M	-4.17M	-1.89M	7.13M
Cash Flow
Free Cash Flow	-4.76M	-1.98M	-2.38M	-4.54M	-9.78M	-11.99M
Operating Cash Flow	-4.75M	-1.98M	-2.38M	-4.53M	-9.60M	-11.84M
Investing Cash Flow	-11.14K	903.00	-15.38K	-9.30K	472.55K	-1.71M
Financing Cash Flow	6.47M	1.82M	1.65M	5.27M	1.39M	19.90M

Euro Sun Mining Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.29
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ESM, the sentiment is Positive. The current price of 0.29 is below the 20-day moving average (MA) of 0.31, above the 50-day MA of 0.25, and above the 200-day MA of 0.17, indicating a bullish trend. The MACD of 0.04 indicates Negative momentum. The RSI at 66.10 is Neutral, neither overbought nor oversold. The STOCH value of 86.67 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:ESM.

Euro Sun Mining Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
SANU	56 Neutral	C$120.33M	-37.33	-15.41%	―	―	48.28%
LIO	53 Neutral	C$116.83M	-69.05	-0.57%	―	160.50%	96.56%
ESM	50 Neutral	C$154.36M	-28.52	―	―	―	-77.78%
ABI	47 Neutral	C$123.99M	-4.93	―	―	-100.00%	-7.21%
YARR	34 Underperform	C$89.92M	-19.40	-63.46%	―	―	-652.38%

Euro Sun Mining Corporate Events

Euro Sun Secures US$200m for Rovina Valley Project Development

Euro Sun Mining Inc. has secured up to US$200 million through a multi-facility agreement with Trafigura to advance the Rovina Valley copper-gold project in Romania. This funding is crucial for reinforcing Euro Sun’s financial position and progressing its development strategy, marking a significant milestone for the company and potentially impacting the European mining industry by providing essential resources for the green energy transition.

European Commission Dismisses Allegations Against Euro Sun’s Rovina Valley Project

Euro Sun Mining Inc. announced that the European Commission has dismissed allegations made by certain NGOs regarding the strategic designation of its Rovina Valley Project. The Commission’s review found the allegations to be unfounded, affirming the project’s importance in supporting Europe’s critical copper supply. This development is seen as a positive step towards realizing the project’s potential benefits for Romania and the broader European market.

Euro Sun Mining Advances Rovina Valley Project with Regulatory and Financial Milestones

Euro Sun Mining Inc. has announced significant progress in its Rovina Valley Copper-Gold Project in Romania, following the Romanian Government’s adoption of the European Union’s Critical Raw Materials Act. This regulatory advancement is expected to streamline permitting processes, enhancing the project’s development. The company reported a substantial increase in the project’s pre-tax net present value to $1.78 billion, highlighting its economic potential. Additionally, Euro Sun has repaid a secured debenture and engaged Cantor Fitzgerald Canada Corp. as a financial advisor to explore strategic transactions, aiming to maximize shareholder value.